Explanatory Note
(This note is not part of the Regulations)
These Regulations, which apply to Northern Ireland, establish a renewable heat incentive scheme (“the scheme”) under which owners of biomass plants, heat pumps and solar thermal plants which generate heat for domestic properties may receive payments at prescribed rates (“tariffs”) when the plant generates heat for that property.
Part 2 (regulations 3 to 16), and Schedules 1 to 2, set out the criteria which must be met before a plant is eligible to participate in the scheme. Regulations 4 to 6 set out the specific requirements for each type of plant. Regulations 7 to 11 set out the requirements for installation, certification, and funding of plants and requires that plants have not been previously used to generate heat and have not been accredited under the Renewable Heat Incentive Scheme Regulations (Northern Ireland) 2012 (S.R. 2012/396) (“the 2012 Regulations”). Regulation 12 sets out requirements where more than one plant heats a property. Regulation 13 identifies the circumstances in which the heat generated by a plant must be metered before the plant is eligible to participate in the scheme (“metered plants”). Regulation 14 sets out the requirements that apply where plants are metered plants, and requires that meters be positioned in accordance with regulation 15 or 16.
Part 3 (regulations 17 to 22) sets out the procedure for applying for accreditation for a plant, the powers of the Department when considering an application, relevant time limits, the circumstances in which accreditation must, or must not, be given and provides for accreditation to be given subject to conditions. Regulation 17 requires that where the meters for a metered plant are positioned in accordance with paragraph (3) or (4) of regulation 15, or paragraph (3), (4) or (5) of regulation 16, the application for accreditation of the plant must include an application for authorisation of the location and type of each of the meters used (a “metering arrangement”). Where a metering arrangement is required, regulation 21 prevents the Authority from accrediting the plant unless it has given authorisation for that metering arrangement. Schedule 3 specifies the information which must be provided for an accreditation application.
Part 4 (regulations 23 to 25) sets out the procedure for making an application for authorisation of a metering arrangement and confers powers on the Department when considering an application and deciding whether to give authorisation.
Part 5 (regulations 26 to 31) confer on the Department the function of making payments (“RHI payments”) to owners of accredited plants (“participants”) and sets out how those payments are calculated. Regulation 26 requires the Department to make RHI payments and provides that RHI payments accrue for seven years from the date of the application for accreditation. Regulation 27 provides for the calculation of deemed annual heat generation. Regulation 28 provides that RHI payments for biomass plants and heat pumps are based on the heat which the plant is deemed to have generated, multiplied by the tariff applicable for the plant once any grant from public funds has been deducted. Regulation 29 provides that RHI payments for solar thermal are based on the estimated generation recorded on the MCS certificate for the plant in question, multiplied by the tariff applicable for the plant once any grant from public funds has been deducted. Regulation 30 provides the arrangements for calculating RHI payments where plant is metered, and Regulation 31 provides for additional upfront payments for a participant's plant.
Part 6 (regulations 32 to 34), and Schedule 4, provide for the determination of the tariff applicable for a plant for the purposes of the calculations in regulations 27 and 28 and 29.
Part 7 (regulations 35 to 40) sets out ongoing obligations with which participants must comply, including requirements to give annual declarations, to provide information and to notify the Department of any relevant change in circumstances.
Part 8 (regulations 41 to 44) sets out the procedures applicable in the event of a change of circumstances affecting accreditation of a plant or whether the plant must be metered and provides for the Department to review accreditation and authorisation of any metering arrangement where necessary.
Part 9 (regulations 45 to 46) provides the Department with the power to install and remove meters on accredited heat plants for monitoring purposes.
Part 10 (regulations 47 to 53) sets out the provisions in relation to enforcement. Regulation 47 confers on the Department or its authorised agent the power to inspect an accredited plant and its associated infrastructure and specifies the manner and circumstances in which this power may be used and the consequences of refusal. Regulations 48 to 49 confer powers on the Department to temporarily or permanently withhold a participant's RHI payments or reduce an RHI payment. Regulations 50 to 52 confer powers on the Department to revoke accreditation in certain circumstances, to recover overpayments and to revoke sanctions imposed by it. Regulation 53 confers a right of review on any prospective, current or former participant affected by a decision made by the Department under these Regulations, sets out the process by which a person may request a review of such decisions and specifies the Authority's powers on review.
Part 11 (regulations 54 to 55) confers functions on the Department in relation to the review of the scheme. Regulation 54 requires the Department to keep the scheme under review and confers a power on the Department or an authorised agent to request entry to the property and to install meters in relation to the accredited plant for the purpose of that review. (Compliance with such a request is an ongoing obligation under regulation 39.) Regulation 55 confers a right of review on any participant affected by a decision made by the Department under these Regulations, sets out the process by which a person may request a review of such decisions and specifies the Department's powers on review.
Part 12 (regulations 56 to 59) confer additional administrative functions on the Department, including duties to maintain a central register of accredited plant and registered metering and monitoring agreements, to publish guidance and to provide information to the Department.
Regulation 56 also imposes obligations on applicants and participants when the Department requests information, and regulation 57 confers additional powers on the Department when it carries out functions under these Regulations.
Part 13 (regulations 60 to 61) makes miscellaneous provision. Regulation 60 describes the form and method of communication of notices, notifications and applications under these Regulations.
Regulation 61 amends the Renewable Heat Scheme Regulations (Northern Ireland) 2012 to prevent a plant which is accredited, or for which accreditation has been sought, under this scheme from also obtaining accreditation under those Regulations.
A draft of these Regulations was notified to the European Commission in accordance with Directive 98/34/EC of the European Parliament and of the Council laying down a procedure for the provision of information in the field of technical standards and regulations (OJ L 204, 21.7.1998, p.37) as amended by Directive 98/48/EC (OJ L 217, 5.8.1998, p.18).